1 Global Tailor Made Travel Market Insight Analysis
The global Tailor Made Travel market size is expected to be USD 146,682.5 million in 2024, with a CAGR of 8.27% from 2024 to 2033.
Tailor Made Travel is completely individual, like a tailored suit. It is crafted by travel agents and local travel experts based on consumers’ needs, interests, and budgets. Tailor made travel services include flights, private guides, drivers, car rentals, meals, theater reservations, travel insurance, and luxury hotels, among others. Consumers can do whatever they want in their way on a tailor made travel. Experts are not only able to find the best options available but also save users money by finding great prices on activities and accommodation.
Figure Global Tailor Made Travel Market Size (M USD) and CAGR (2024-2033)
2 Tailor Made Travel Market Growth Drivers and Restraints
Tourism consumption upgrade and personalized demand growth: With the development of the global economy, people’s living standards have improved, tourism consumption has upgraded, and the demand for personalized travel experiences has become increasingly strong. Consumers are no longer satisfied with the fixed itineraries of traditional group tours, and are more inclined to customize travel to suit their own interests, preferences and budgets. For example, the younger generation is keen to explore unique destinations and experience special activities. Customized travel just meets these needs and drives market growth.
Technology advancement: The Internet, artificial intelligence, big data and other technologies are widely used in the tourism industry, providing strong support for the development of customized tourism. Online travel platforms and customized tools allow consumers to easily plan itineraries and book services; artificial intelligence can provide personalized recommendations based on user data to improve service efficiency and accuracy; digital payment systems make transactions safer and more convenient, and enhance consumers’ willingness to travel.
Social media and word-of-mouth communication: The popularity of social media makes it easier to share travel experiences. Consumers are influenced by other people’s travel experiences and are more likely to have a desire to travel. Tourism companies use social media to showcase customized travel products and services to attract potential customers. Good word-of-mouth communication can enhance corporate visibility and reputation and promote market expansion.
High cost: Customized tourism provides consumers with exclusive services, including personalized itinerary planning, private tour guides, high-end accommodation, etc., which leads to high costs and relatively expensive prices, which exceed the budget of some consumers, limit the further expansion of the market scale, and exclude some price-sensitive customers.
Talent shortage: Customized tourism services require professional talents, who must not only be familiar with tourism business, but also have good communication, cultural understanding and adaptability. However, due to the impact of the epidemic, the tourism industry has suffered serious talent loss, and the problem of talent shortage has become prominent, affecting service quality and corporate operating efficiency, and restricting market development.
Unstable external environment: External factors such as international turmoil, terrorist activities, natural disasters and public health events have a huge impact on the customized tourism market. For example, the conflict between Russia and Ukraine has affected regional tourism safety and discouraged tourists; the COVID-19 pandemic has caused the global tourism market to stagnate, people’s travel has been restricted, and tourism demand has dropped sharply, which has dealt a heavy blow to the customized tourism market.
3 Technological Innovations in the Tailor Made Travel Market
Artificial intelligence and big data help personalized services: Artificial intelligence and big data technologies are widely used in customized tourism. Enterprises use big data to analyze consumers’ browsing, booking records and preference information, build accurate user portraits, and provide them with personalized travel plans. Artificial intelligence can also quickly match the best flights and hotels in the booking process, realize dynamic pricing, and improve service efficiency and customer experience.
Virtual reality (VR) and augmented reality (AR) enrich the travel experience: VR and AR technologies provide tourists with immersive travel experience. In the itinerary planning stage, tourists can preview the destination attractions and hotel environment through VR technology; during the travel process, AR technology can provide tourists with real-time display of historical and cultural information of attractions, enhance the fun and interactivity of tourism, and add appeal to customized tourism products.
Internet of Things (IoT) improves travel convenience: The application of IoT in the tourism industry continues to expand, such as smart luggage can track location in real time, and smart hotel equipment allows tourists to control room facilities through mobile phones, improve travel convenience and comfort, and optimize tourists’ travel experience.
Expand market and business scope: Enterprises integrate resources through mergers and acquisitions and reorganizations to expand market share and business areas. For example, in 2023, Active Travel Group acquired related companies and obtained a bicycle operating platform in Italy, expanding its layout in the European leisure cycling market; FLT acquired luxury travel operator Scott Dunn to enter the luxury tourism field and achieve business diversification.
Enhance competitiveness: M&A and restructuring help companies improve their competitiveness. Despegar acquired Brazilian online travel agency Viajanet, consolidating its leading position in the Latin American online travel market, enhancing its overall strength, enabling it to better cope with market competition and provide customers with more comprehensive services.
4 Global Tailor Made Travel Market Size by Type
Culture and History – themed tailor – made travel topped the list with a revenue of 52666.3 million US dollars. This type of travel allows tourists to immerse themselves in the rich cultural heritages and historical legacies of different regions, such as visiting ancient castles in Europe or exploring historical temples in Asia.
Following Culture and History, Relaxation – oriented tailor – made travel generated a revenue of 48900.4 million US dollars. In a fast – paced world, many travelers seek relaxation through tailor – made trips, which may include stays at luxury spas, beach resorts, or peaceful countryside retreats.
Food and Cooking – themed tailor – made travel ranked third, with a revenue of 27207.5 million US dollars. This segment caters to food enthusiasts who are eager to explore local cuisines, participate in cooking classes, and visit food markets around the world.
Exploration – focused tailor – made travel had the lowest revenue among the four types in 2024, amounting to 17908.3 million US dollars. This type appeals to adventure – seekers who want to engage in activities like hiking in uncharted terrains, wildlife safaris, or deep – sea diving.
Regarding market share, Culture and History held a significant 35.90% in 2024, indicating its popularity among travelers. Relaxation accounted for 33.34% of the market share, showing the high demand for stress – relieving travel experiences. Food and Cooking took up 18.55% of the market share, while Exploration had a share of 12.21%.
Culture and History – themed travel benefits from the universal human interest in learning about different civilizations and historical stories. Relaxation – oriented travel meets the essential need for rest and rejuvenation. Food and Cooking – themed travel capitalizes on the growing global interest in culinary experiences. Exploration – focused travel, although having a smaller share, targets a niche but passionate group of adventure lovers.
Table Global Tailor Made Travel Market Size and Share by Type in 2024
|
Type |
Market Size (M USD) 2024 |
Market Share 2024 |
|---|---|---|
|
Culture and History |
52666.3 |
35.90% |
|
Exploration |
17908.3 |
12.21% |
|
Food and Cooking |
27207.5 |
18.55% |
|
Relaxation |
48900.4 |
33.34% |
5 Global Tailor Made Travel Market Size by Application
Domestic tailor – made travel contributed a significant portion, with a consumption value of 103044.5 million US dollars. In contrast, foreign tailor – made travel had a consumption value of 43638.0 million US dollars. These figures clearly show that domestic tailor – made travel is currently generating higher revenues in the global market.
Regarding market share, domestic tailor – made travel held a share of 70.25% in 2024. This dominant position indicates that a large number of consumers prefer customized domestic travel experiences. Foreign tailor – made travel, on the other hand, accounted for 29.75% of the market share. Although it has a smaller share compared to domestic travel, the upward trend in its share is notable.
For domestic tailor – made travel, factors such as familiarity with the local environment, shorter travel distances, and potentially lower costs may contribute to its higher revenue and market share. Many travelers find it more convenient and comfortable to explore their own countries with customized itineraries that suit their specific interests, such as visiting local cultural heritage sites or enjoying regional cuisines.
Foreign tailor – made travel, while having a lower share currently, is growing steadily. The allure of experiencing different cultures, landscapes, and lifestyles in foreign countries drives many consumers to seek customized foreign travel packages. As people become more globally – minded and have a greater desire for unique international travel experiences, the market for foreign tailor – made travel is expected to continue expanding.
Table Global Tailor Made Travel Market Size and Share by Application in 2024
|
Application |
Market Size (M USD) 2024 |
Market Share 2024 |
|---|---|---|
|
Domestic |
103044.5 |
70.25% |
|
Foreign |
43638.0 |
29.75% |
6 Global Tailor Made Travel Market Size by Region
The United States is projected to have a substantial market size in 2024, reaching $43,833.2 million USD. This represents a remarkable increase from the previous years, indicating a strong demand for personalized travel experiences within the country. The growth in the U.S. market can be attributed to several factors, including the increasing disposable income of the population, a desire for unique and immersive travel experiences, and the influence of digital platforms that facilitate the booking of customized travel itineraries. The U.S. market has been showing a consistent upward trend, and this is expected to continue as more travelers seek out tailored travel options that cater to their specific interests and preferences.
Europe is anticipated to lead the global tailor-made travel market in 2024 with a significant market size of $49,726.2 million USD. This region has a rich cultural heritage and diverse travel destinations, making it a popular choice for travelers seeking customized experiences. The growth in the European market is driven by a combination of factors, including the region’s appeal to travelers from around the world, the increasing popularity of experiential travel, and the growing trend of travelers seeking more sustainable and eco-friendly travel options. Europe’s market is expected to benefit from the region’s well-established tourism infrastructure and the ongoing efforts to promote sustainable tourism practices.
China is projected to have a considerable market size in 2024, with a value of $19,760.3 million USD. The Chinese market has been growing rapidly, fueled by the country’s expanding middle class and increasing disposable incomes, which have led to a surge in travel and tourism. The growth in China’s tailor-made travel market also reflects the country’s efforts to diversify its tourism offerings and cater to the evolving preferences of its citizens. As China continues to develop its tourism industry and promote domestic and international travel, the market for customized travel experiences is expected to grow further.
Figure Global Tailor Made Travel Market Size (M USD) by Region in 2024
7 Global Tailor Made Travel Market Analysis by Major Players
Der Touristik Group
Company Profile: Established in 1918, Der Touristik Group is one of the leading tourism groups in Europe and part of the REWE Group’s travel and tourism division. With over 8,000 employees in 16 European countries, the group operates with in-depth knowledge of tourism and a strong passion for fulfilling guests’ holiday dreams.
Business Overview: Der Touristik Group offers a broad spectrum of services on all aspects of professional and efficient management of business travel and corporate events. DER Touristik Group Solutions, Derpart Travel Service, and KUONI provide innovative solutions to corporate customers.
Product Offered: Kuoni, a tour operator within the Der Touristik Group, has been setting the pace in premium and luxury worldwide travel in the UK market for over fifty years. The tour operator excels in creating tailor-made holidays and honeymoons around the world and is the market leader in the Indian Ocean.
2023 Summary: In 2023, Der Touristik Group’s tailor-made travel business achieved a revenue of 2,579.7 million USD, with a gross profit of 1,379.6 million USD, resulting in a gross margin of 53.48%.
Abercrombie and Kent
Company Profile: Founded in 1962, Abercrombie and Kent is the world’s premier luxury travel company, with an unrivaled legacy of creating memorable, inspiring adventures in over 100 countries across all seven continents.
Business Overview: Today, Abercrombie and Kent is recognized as the gold standard for luxury travel by professionals and guests alike. With over 55 offices in more than 30 countries and a global family consisting of more than 2,500 dedicated travel experts, A&K offers everything from inspiring small-group journeys to Luxury Tailor Made Travel, Luxury Expedition Cruises, and Private Jet journeys.
Product Offered: A&K Luxury Travel Destinations provide the ultimate in luxury vacations on every continent. A&K journeys touch all seven continents, ranging from the bustling souks of Morocco and the mysterious ruins in Peru to the ancient pyramids of Egypt and the idyllic French countryside. A&K ensures that unforgettable luxury vacations are not just about where you go — it’s also how you get there.
2023 Summary: In 2023, Abercrombie and Kent’s tailor-made travel business achieved a revenue of 1,038.2 million USD, with a gross profit of 501.1 million USD, resulting in a gross margin of 48.26%.
Hays Tour Operating
Company Profile: Founded in 1980, Hays Tour Operating is a worldwide travel agency that creates unique tailored holidays and packages with total peace of mind for thousands of satisfied customers.
Business Overview: Hays Tour Operating operates in the travel agency activities sector, SIC Code 79110. Its largest shareholder is Hays Travel Ltd with a 100% stake. Hays Tour Operating creates unique tailored holidays and packages with total peace of mind for thousands of satisfied customers.
Product Offered: Exclusive Tours offered by Hays Tour Operating Limited include benefits such as deposits of only £150 per person, competitive pricing, extensive product range, quality brochures, and full ABTA & ATOL protection.
2023 Summary: In 2023, Hays Tour Operating’s tailor-made travel business achieved a revenue of 705.0 million USD, with a gross profit of 344.5 million USD, resulting in a gross margin of 48.87%.